Membership Q&A: Don’t Leave Us!

photo of zebras on grassland

What’s the #1 reason a long-standing member would not renew?

As Dr. Theodore Woodward of the University of Maryland School of Medicine taught his med students in the 1940: “When you hear hoofbeats, think of horses not zebras.”

For our purposes, that means start with the obvious: Did that member switch careers or retire?

If so, you may have to chalk this one up to “forces beyond our control,” and let that person go.

If not, however, you potentially have a problem – a big one.

First of all, to quote Sohini Baliga’s and my recent whitepaper, Steal This Idea!:

Let’s say you get a new member who joins on the last day of early-bird registration for your annual conference and picks the “membership + member registration rate” package. Your conference is in Seattle, and he lives in Seattle. At the endof the next year’s renewal cycle, with your next conference coming up in Boston, you notice that he’s lapsed, so you put him back into your lead cultivation cycle.

Let’s say you also have a member who’s been with you for 15 years. She holds your professional certification, has presented at some of your events, is a regular contributor to conversation on your white-label social network platform, and served a three-year term on one of your committees. At the end of next year’s renewal cycle, you notice that she’s lapsed.

What happens next?

Far too often, she goes back into your lead cultivation cycle but otherwise doesn’t receive any sort of special attention.

Those two members are not equally valuable to your association, and treating them as if they are is disrespectful of the investment that the second member has made in your association. With the first member, it’s reasonable to infer that he joined to attend your meeting because it was local and that was all he was looking for from your association. He should go back into your lead cultivation cycle but otherwise probably doesn’t merit additional reinstatement efforts. But that second, long-term, highly involved member has earned the right to more attention. Her departure should trigger alarm at the highest levels of your association and direct, personal outreach to find out why she left and whether the association can do anything to reclaim her. The first member took your association out for coffee and realized you weren’t a match. That happens. The second member has basically served your association divorce papers. You should find out why.

Increasing numbers of my clients are reporting problems retaining mid-career professionals. These are people who are settled in their careers but not yet nearing retirement. They’ve often earned whatever credentials are available for their industry (whether those be undergrad or graduate degrees or certifications or other types of non-degree credentials). They’ve invested a decade or more building their professional network. They may NOT be interested in traditional modes of volunteering, spending years working their way laboriously up the association committee ladder with the goal of putting that “prestige” committee chair or board of directors position on their LinkedIn profile and resume.

And, frankly, a lot of associations are not serving them well.

Assuming it’s not due to outside forces like leaving the industry, members lapse because what you’re charging exceeds the value of what you’re providing.

It’s tempting to rationalize this trend as, “Well, it’s just GenXers, and there were always fewer of them anyway – smaller generation. We’ll just recruit more early-career Millennials to make up for it.”

Two problems with that thinking:

  1. The oldest Millennials are about to turn 35. In other words, they’re rapidly approaching “mid-career.”
  2. They don’t want the same things your Boomer members did at their mid-career stages.

What do those experienced professionals want?

There is no one answer, which is why you need to put in the time and effort NOW to find out what’s going on with them, what their current professional challenges are, and what goals they have yet to accomplish. GenXers are likely to be happy to be your guinea pigs and will give you the space to develop an experimental mind-set and approach, which will position you for success with the larger generations coming behind as they reach career maturity.

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Membership Q&A: How Much Is TOO Much?

How many follow up touch points is too many follow up touch points? When are we just getting annoying?

A good general rule is: As long as you’re still getting enough response to justify the investment of resources in the touch point, keep going.

But how do you know?

You have to pay attention to the response rate you get from each communication. Open rate matters, and per the INFORMZ 2017 Association Email Benchmarking Report, you should be looking for an open rate of around 35%. But click rate – that is, did people at least attempt to take your call to action? – and unsubscribe rate – that is, are you pestering people so much they’re fleeing? – matter more.

Benchmarking matters, and benchmarking within our industry is far more meaningful than just general benchmarking (not least of which because associations generally do better, so if you benchmark against commercial marketing emails, you may end up thinking you’re doing better than you actually are). But what matters most is benchmarking against yourself. If your own internal open and click rates are going down, or your unsubscribe rate is going up, it’s time to take a fresh look at what you’re doing.

That all being said, people are inundated with email, so it’s equally important – if not more so – to communicate using a variety of platforms.

 

Membership Q&A: Who Makes the Call?

Four people talking to each other

Who should make contact around things like joining and renewing: other members or staff?

Member-to-member (or member-to-prospect) communications can be very effective, IF you can persuade your members to actually make the calls.

We’re often tempted to ask volunteers to call lapsed members – in fact, that can be a stated requirement of serving on a membership committee. However, that is the hardest call to get volunteers to agree to make (and actually follow through on), because unless your lapsed members just forgot, they lapsed for cause, and facing an angry or disgruntled member is scary for volunteers.

It can even backfire, if the volunteer who’s placing the call is the combative type. “I was upset with the association for X reason, so I let my membership lapse, and then Member Y called and started an argument on the phone with me,” is not good for your association.

I recommend starting with something easier. So what IS easier?

The best place to start with a member-to-member contact campaign is welcoming new members. While you can certainly restrict those new member calls to your board of directors and/or your membership committee, it’s not complicated to do (particularly if you provide a simple script), so it’s an excellent micro-volunteering opportunity for any member.

What would a script look like?

Start by – if possible – matching up a new member with an experienced member who is located physically near them, which allows for an in-person meeting if both members are amenable. Your volunteer starts off by introducing herself and welcoming the new member to the association. Then she asks for two pieces of information:

  • How did the new member find out about the association?
  • What caused him to join?

Then your volunteer shares a few things she likes about her membership, highlights one thing the new member can expect to see soon, and, if appropriate, invites the new member to get a coffee or lunch.

That’s it – easy and fun for both your welcome wagon volunteers and your new members.

Moving up a level in complexity, you can run a Member Get a Member (MGM) or Member Get a Lead (MGL) campaign.

There are MANY resources on how to run an MGM campaign. The keys are to make sure you have a good tracking mechanism, make sure you provide your member recruiters with plenty of sales support, and keep your expectations in check (every single member will not recruit one member – a tiny percentage will be really into it, and everyone else will ignore it). MGM can be challenging because people who aren’t salespeople as their profession tend to fear sales. Even people who are salespeople as their profession may not be comfortable selling your association.

Because of that, I often encourage clients to start with MGL, which is a lot less pressure on your members. All they have to do is introduce the association to a colleague and ask if it’s OK for someone from the association to follow up with more information, then your members submit those warm leads for association staff to follow up on. It makes tracking a cinch – you know exactly where a lead came from, because the members submit them directly – and takes the pressure to “close deals” off members.

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Membership Q&A: Tiered Benefits

Turquoise steps

Do members respond well to “tiered” membership plans?

Generally, yes, with an important caveat. There must be meaningful differences in member behavior patterns.

If all your members pretty much behave the same and use your benefits the same, there’s nothing around which to differentiate tiers.

Or if you don’t have enough benefits to allow for it, you really can’t create tiers.

But if different groups of members use different benefits in identifiable and trackable ways, yes, tiered pricing is a good way to go.

What you do is bundle benefits together in ways that you can support based on member use data, adjust the pricing to be favorable, and market to the right members.

An example from one of my clients: We were able to identify that member firms either didn’t attend their annual conference at all or sent teams of five or more people. So we offered a tier of membership that included five pre-paid conference registrations, at a rate slightly lower than the early-bird registration rate. We then marketed that option specifically to the firms that regularly sent teams of five or more people, with the pitch that it would save money (lower rate) and time, by not requiring them to go through another round of payment approvals. And they took us up on it.

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Membership Q&A: Is There a Tipping Point?

little boy playing Jenga

Is there a “tipping point” when too many benefits start to get lost in the shuffle? 

People associate because they’re trying to accomplish something or solve a problem that they’ve been unable to do alone. So yes, your members come to you looking for something in particular – help solving a particular problem that has so far proved intractable or achieving a particular goal that has so far proved unattainable.

Each member is likely joining because of 1-3 key benefits that particular member is looking for. The trick is to figure out what those 1-3 key benefits are for any given member, and then to clearly show her how those benefits solve her problem or help her achieve her goal.

But yes, you can offer too much stuff. Clues that a benefit is a waste of resources include:

  • Few members use it (you find that out from behavioral data)
  • Those members that do use it aren’t passionate about it (you find that out in member satisfaction surveys)
  • The cost to provide the benefit is out of line with use (which requires fully weighted cost center accounting to accurately calculate)
  • The benefit is tangential to your mission
  • Someone else is providing an equivalent benefit both better and cheaper than your association does
  • The benefit is a major drain on staff

Don’t be afraid to eliminate under-performing benefits. That’s the only way you free up resources for the new things your members are going to need to face tomorrow’s challenges.

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Membership Q&A: Discounts

Money

Are members who join with a price incentive more or less likely to renew membership the following year?

Less likely. Don’t offer pricing discounts unless your audiences are EXTREMELY price sensitive or your membership is declining and you’re desperate to get people in the door by any means necessary.

Does offering a discounted membership based on time of the year (i.e. a summer sale) dilute the value of membership?

Yes. Also, when you start offering discounts, you train your members to bad behavior: “Well, I waited to renew last year, and they offered a discount, so I’ll wait again this year and see if I can get another deal.”

Now that’s different than pro-rating membership when everyone’s renewing on the calendar year. If a new member joins in July, one school of thought says “charge that member 50% of your regular rate,” but I’m not a fan of that because then that new member is going to start receiving “it’s time to renew!” notices almost immediately. I encourage clients to offer “18 for the price of 12.” That is, the new member pays the full rate NOW, but isn’t solicited to renew until next year’s renewal cycle.

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Announcing: Membership Q&A

neon red "ask" sign

You’ve got questions – I (may) have answers!

Now that the Membership 101 Series has concluded, it occurred to me that folks might have some more questions about membership I didn’t think to address.

I have some membership FAQs my clients have asked me over the years that I’ll address, but you might have questions too, and might want the opportunity to ask them in an anonymous setting (rather than on ASAE’s Collaborate community or other public forum).

Now’s your chance.

You’re welcome to email me, call to text me (202.468.3478), @ me on Twitter, or drop me a message on LinkedIn, and I’ll answer your membership questions here.

No question too big – no question too small, and if I don’t know the answer, I promise I’ll try my best to get it for you.

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Membership 101: The Full Series

People working at computers in a coffee shop

I’ve gotten through all the topics I had planned for the Membership 101 series, which leads to two additional questions:

  1. What did I miss? Are there membership topics you were hoping I’d cover that I never did?
  2. So then you might ask: “Um, what were all the topics you covered again?”

So glad you asked! Here’s the list of all the Membership 101 posts with all the links:

Remember – let me know what I missed in the comments.

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Membership 101: What About Trade Associations?

If you’ve been following the Membership 101 series, you may be wondering: “What about trade associations? A lot of your advice seems directed to individual membership/professional associations. My members are companies/institutions. Does your advice still hold?”

The answer? Sort of.

On the one hand, many things are different in your operating environment. Trade associations frequently have a highly defined universe – you often know EXACTLY how many companies qualify for membership in your association (and who they are). Generally speaking in individual membership associations, anyone who wants to pony up for dues can be a member, while in trade associations, new members may come in on provisional status until they’re approved by the board of directors, because there are qualifications they have to meet first. Dues are usually SIGNIFICANTLY higher than for professional societies – a $100 individual membership can be an impulse buy, but a $100,000 company membership is not. And advocacy often plays a far more significant role in the slate of benefits in trades than it does in individual membership societies – which can actually be a big problem, as companies elect to be free riders, trusting that the association will advocate for them regardless of whether they PAY for that service or not.

On the other hand, while the company may be paying for the membership, the association is still in the business of creating relationships between people (both between the members and the association and within the membership base as a whole). But being a trade adds a layer of complication to that. Your primary contact will often be a CEO-level person, but the dues notices go to the finance department, while the people who are taking advantage of membership benefits are often widely spread across the organization, and many of those people might, like the blind men of the fable, only be experiencing a tiny part of the elephant.

That means that a few of the things we’ve talked about in this series become even more important:

Trade association membership staff MUST accurately calculate comprehensive Life Time Value of membership, because the high dues amounts your members pay mean that it’s often appropriate to spend LARGE sums on recruitment.

Trade associations’ limited universe means that your members have the right to expect a much more personalized level of service. You should at least consider providing concierge type relationship management, including in-person visits.

Although someone in the C-suite is probably your primary membership contact (and thus approves paying the annual renewal notice), the value of membership may be somewhat hidden from that person, as staff members across their company are the ones who are using and benefitting from your programs, products, and services. Because of that, it’s critical to illuminate that value by providing an annual activity summary to that payment approver.

While advocacy is often a critical service your trade association provides, you have to be careful about how you talk about it. One, you can’t guarantee any legislative outcomes, so you have to be cautious about what you promise. And two, as mentioned above, there’s the free rider problem, so you need to think about what you can offer that will encourage companies to kick in their fair share.

Since you’re often talking large sums of money for dues, you also need to be aware of your members’ fiscal year, budget schedules, and annual flow of business in a way that an individual membership association promoting $100 membership doesn’t. Align your fiscal year with your members’, don’t run your renewal cycle during their busy season, and if you’re going to make significant dues changes, pay attention to their budget cycles before you do – they’re going to need some lead time to prepare.

But in the end, remember you’re still real people dealing with real people, and your main focus is still on creating authentic relationships that allow them to come together to accomplish goals they were unable to achieve on their own.

 

Membership 101: Reinstatement

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Hopefully, your exit survey recaptured a number of your members who lapsed due to inattention.

What about the ones who lapsed for cause? Is it worth trying to get them back?

Yes, with some conditions.

First, you need to segment your lapsed members into those who left for reasons that are under your control versus those who left for reasons that are NOT under your control. That second group would be situations like people who’ve retired (or, let’s be honest here, died), people who’ve left the industry or profession, companies that went out of business or were acquired – basically, people or organizations who’ve removed themselves, or whose circumstances have removed them, from the pool of potential members.

Reasons that would be under your control include things like:

  • Your association’s programs, products, or services didn’t live up to that member’s expectations
  • Your association is missing programs, products, or services that member wants you to offer
  • That member had a problem with your association that wasn’t resolved to her satisfaction
  • Your association took a position (possibly, but not necessarily, advocacy-related) that member disagreed with

In other words, she had problems that she should reasonably be able to expect you to help her solve or goals that she should reasonably be able to expect you to help her achieve, and you didn’t.

This is why it’s important, when members lapse, so find out why. In a broad sense, if you discover that a significant number of your lapsed members are, for instance, dissatisfied with your research journal, that’s a good indicator that you need to make some changes to it.

In the more narrow sense, when a member has left for cause, you shouldn’t just bombard her with pitches for something she already decided she didn’t want (membership in your association as it stood when she left). Assuming you have changed what she didn’t like – fixed the program she had a problem with, added the product she was looking for, made a second attempt to resolve her problem, adjusted your position on the issue she disagreed with – you need to tell her about that.

It’s also possible that she just misunderstood – “I joined to find a job and your career center wasn’t useful to me because you don’t offer a job agent” when you do, in fact, offer a job agent – and it’s OK to work to correct that misperception, but be careful how you do it. It’s not a terse email pointing out: “It’s RIGHT THERE, dummy!” It flows more like: She responded to your exit survey with that reason and said it was OK to follow up with her. So you do, by the method she preferred, and offer something like: “Thanks for responding to our exit survey. I see you let your membership lapse because you were dissatisfied with our career center. Can we set up a time where I can walk you through what’s there and how it works to see if we can resolve this for you?” Resolve the problem, be polite, and DON’T IMMEDIATELY PITCH “So you’re going to rejoin now, right?”.  But do put her back in your recruitment campaign group, once her problem is resolved.

One last point on both your exit survey and reinstatement processes: Pay attention to your data. Sometimes you “lose” people because you literally lose contact with them. They may be students who graduated, moved to a new city, and are no longer using their .edu email address. They may have changed jobs, and if all you had was work address and email, they’ve vanished for all intents and purposes. There’s no perfect fix for this other than detective work. Some things you can add to your initial data collection that can at least help include getting more than one (address, phone number, email) and linking social profiles, particularly LinkedIn.

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